(KMT) Kennametal - NYSE
Sector: Industrials | Industry: Tools & Accessories | Exchange: NYSE (USA) | Market Cap: 2.637m USD | Total Return: 68.9% in 12m
Avg Turnover: 42.6M
EPS Trend: 25.2%
Qual. Beats: 3
Rev. Trend: -27.9%
Qual. Beats: 1
Warnings
No concerns identified
Tailwinds
Confidence
Kennametal Inc. (KMT) is an industrial materials manufacturer specializing in tungsten carbides, ceramics, and super-hard materials. Based in Pittsburgh, the company operates two primary segments: Metal Cutting and Infrastructure. The Metal Cutting division provides precision tools for aerospace, automotive, and general engineering, while the Infrastructure segment supplies wear-resistant components for energy, mining, and construction applications.
The business model relies on a dual distribution strategy, utilizing a direct sales force for large industrial accounts alongside a network of independent distributors for broader market reach. In the industrial machinery sector, companies like Kennametal are highly sensitive to global manufacturing cycles and raw material price fluctuations, particularly tungsten ore, which is a critical input for high-performance tooling.
Investors can evaluate the companys historical performance and valuation metrics further on ValueRay.
Founded in 1938, Kennametal maintains a diverse brand portfolio including WIDIA and Hanita. Its products are essential for high-stress environments where material durability is required for precision manufacturing and resource extraction.
- Global industrial production output drives demand for metal cutting and wear-resistant tools
- Fluctuations in tungsten and raw material costs impact manufacturing gross margins
- Aerospace and defense spending levels dictate high-margin infrastructure segment revenue
- Energy sector capital expenditures influence demand for specialized oil and gas components
- Automotive production cycles determine tool replacement rates in the metal cutting segment
| Net Income: 137.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA -3.45 > 1.0 |
| NWC/Revenue: 34.73% < 20% (prev 29.98%; Δ 4.75% < -1%) |
| CFO/TA 0.05 > 3% & CFO 148.3m > Net Income 137.0m |
| Net Debt (598.1m) to EBITDA (360.0m): 1.66 < 3 |
| Current Ratio: 2.38 > 1.5 & < 3 |
| Outstanding Shares: last quarter (77.2m) vs 12m ago -0.54% < -2% |
| Gross Margin: 31.81% > 18% (prev 31.29%; Δ 0.53% > 0.5%) |
| Asset Turnover: 81.84% > 50% (prev 80.05%; Δ 1.79% > 0%) |
| Interest Coverage Ratio: 8.73 > 6 (EBIT TTM 217.4m / Interest Expense TTM 24.9m) |
| A: 0.27 (Total Current Assets 1.28b - Total Current Liabilities 536.1m) / Total Assets 2.73b |
| B: 0.47 (Retained Earnings 1.27b / Total Assets 2.73b) |
| C: 0.08 (EBIT TTM 217.4m / Avg Total Assets 2.61b) |
| D: 1.02 (Book Value of Equity 1.35b / Total Liabilities 1.33b) |
| Altman-Z'' = 4.93 = AAA |
| DSRI: 1.07 (Receivables 334.4m/290.9m, Revenue 2.14b/1.99b) |
| GMI: 0.98 (GM 31.29% / 31.81%) |
| AQI: 0.96 (AQ_t 0.20 / AQ_t-1 0.21) |
| SGI: 1.07 (Revenue 2.14b / 1.99b) |
| TATA: -0.00 (NI 137.0m - CFO 148.3m) / TA 2.73b) |
| Beneish M = -2.95 (Cap -4..+1) = A |
As of June 19, 2026, the stock is trading at USD 36.36 with a total of 684,097 shares traded.
Over the past week, the price has changed by +9.19%,
over one month by +4.12%,
over three months by -2.57% and
over the past year by +68.94%.
Kennametal has received a consensus analysts rating of 2.50. Therefore, it is recommended to sell KMT.
- StrongBuy: 0
- Buy: 0
- Hold: 5
- Sell: 2
- StrongSell: 1
| Analysts Target Price | 37.6 | 3.5% |
P/E Trailing = 19.4382
P/E Forward = 22.1239
P/S = 1.2477
P/B = 1.9464
P/EG = 1.253
Revenue TTM = 2.14b USD
EBIT TTM = 217.4m USD
EBITDA TTM = 360.0m USD
Long Term Debt = 597.4m USD (from longTermDebt, last quarter)
Short Term Debt = 28.5m USD (from shortTermDebt, last quarter)
Debt = 705.0m USD (from shortLongTermDebtTotal, last quarter) + Leases 45.4m
Net Debt = 598.1m USD (calculated: Debt 705.0m - CCE 106.8m)
Enterprise Value = 3.24b USD (2.64b + Debt 705.0m - CCE 106.8m)
Interest Coverage Ratio = 8.73 (Ebit TTM 217.4m / Interest Expense TTM 24.9m)
EV/FCF = 44.24x (Enterprise Value 3.24b / FCF TTM 73.1m)
FCF Yield = 2.26% (FCF TTM 73.1m / Enterprise Value 3.24b)
FCF Margin = 3.42% (FCF TTM 73.1m / Revenue TTM 2.14b)
Net Margin = 6.41% (Net Income TTM 137.0m / Revenue TTM 2.14b)
Gross Margin = 31.81% ((Revenue TTM 2.14b - Cost of Revenue TTM 1.46b) / Revenue TTM)
Gross Margin QoQ = 34.69% (prev 32.83%)
Tobins Q-Ratio = 1.18 (Enterprise Value 3.24b / Total Assets 2.73b)
Interest Expense / Debt = 3.53% (Interest Expense 24.9m / Debt 705.0m)
Taxrate = 25.13% (48.4m / 192.4m)
NOPAT = 162.7m (EBIT 217.4m * (1 - 25.13%))
Current Ratio = 2.38 (Total Current Assets 1.28b / Total Current Liabilities 536.1m)
Debt / Equity = 0.52 (Debt 705.0m / totalStockholderEquity, last quarter 1.35b)
Debt / EBITDA = 1.66 (Net Debt 598.1m / EBITDA 360.0m)
Debt / FCF = 8.18 (Net Debt 598.1m / FCF TTM 73.1m)
Total Stockholder Equity = 1.31b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.25% (Net Income 137.0m / Total Assets 2.73b)
RoE = 10.46% (Net Income TTM 137.0m / Total Stockholder Equity 1.31b)
RoCE = 11.40% (EBIT 217.4m / Capital Employed (Equity 1.31b + L.T.Debt 597.4m))
RoIC = 7.69% (NOPAT 162.7m / Invested Capital 2.12b)
WACC = 8.57% (E(2.64b)/V(3.34b) * Re(10.16%) + D(705.0m)/V(3.34b) * Rd(3.53%) * (1-Tc(0.25)))
Discount Rate = 10.16% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -77.78 | Cagr: -1.62%
[DCF] Terminal Value 72.26% ; FCFF base≈104.9m ; Y1≈92.0m ; Y5≈74.3m
[DCF] Fair Price = 7.24 (EV 1.15b - Net Debt 598.1m = Equity 552.1m / Shares 76.2m; r=8.57% [WACC]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: 25.15 | EPS CAGR: 2.82% | SUE: 1.15 | # QB: 3
Revenue Correlation: -27.91 | Revenue CAGR: -0.71% | SUE: 2.45 | # QB: 1
EPS next Quarter (2026-09-30): EPS=1.55 | Chg30d=+144.84% | Revisions=+50% | Analysts=6
EPS current Year (2026-06-30): EPS=3.91 | Chg30d=+60.36% | Revisions=+64% | GrowthEPS=+191.8% | GrowthRev=+19.1%
EPS next Year (2027-06-30): EPS=3.90 | Chg30d=+52.01% | Revisions=+67% | GrowthEPS=-0.4% | GrowthRev=+14.3%
[Analyst] Revisions Ratio: +67%